Question: A manager is thinking about spending $7,000 on a machine, which can produce goods that can be sold for $5 per unit. Variable cost would
A manager is thinking about spending $7,000 on a machine, which can produce goods that can be sold for $5 per unit. Variable cost would be $3 per unit. If design capacity is 2,000 and effective capacity is 8,000 units per year, and the manager plans to produce 1,200 units each year on this machine, utilization would be _________%
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